Is my roommate in trouble for auto insurance fraud?

My roommate has been commiting auto insurance fraud for the past 7 years. She registered her car in Georgia even though she's been living, working, and driving in NYC for the past 7 years. Somehow the auto insurance company found out. In NY auto insurance rate fraud is I THINK a federal offence now. So I told my roommate that even though they can proove she's been living and working in NYC for the past few years they can't proove that her car has been here the whole time too. So she should be a-ok and not worry, right? Obviously they will make her start paying nyc rates, but since they can't make her pay for the past 7 years because proof of employment and living here doesn't proove she's been driving to work every day here too right?

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